The Deloitte Talent in Banking Survey 2014 The United Arab Emirates in Focus

The Deloitte Talent in Banking Survey 2014 The United Arab Emirates in Focus

Among business in the UAE, banking has fallen from second-most popular industry to fourth in just one year. As with most private sector organisations in the Emirates, they are overwhelmingly reliant on expatriate labour. Business 1 from local universities, more than 90 per cent of whom in our sample are expatriates, prefer airports/airlines, software companies and the fast-moving consumer goods (FMCG) sector as places About the Research This report is based on a survey by Universum about the career intentions of business in 31 markets around the world. Universum has been researching career intentions since 1988. In 14-2013, it surveyed about 700,000 drawn from around 2,000 universities and institutes of higher education in 31 markets. Deloitte examined the survey results from 174,000 business in the 31 markets most relevant to banking: in the Americas, Brazil, Canada, Mexico and the US; in APAC, Australia, China, Hong Kong, India, Indonesia, Japan and Singapore; and in EMEA, Austria, Belgium, Czech Republic, Denmark, France, Germany, Ireland, Italy, Middle East (defined by Universum as Egypt, Lebanon, Kuwait, Qatar and Saudi Arabia), the Netherlands, Norway, Poland, Russia, South Africa, Spain, Sweden, Switzerland, Turkey, the UAE and the UK. The number of markets included in global and regional averages varies between 24 and 31. Figure 1. Student demographics, the UAE, 2014 All business Bankinginclined Investment banking-inclined Female %61.6 %56.0 %49.4 Male %38.4 %44.0 %50.6 Number of 1,642.0 386.0 156.0 Average age 20.9 20.6 20.6 1 Students studying business-related subjects. 2 Business were presented with a list of employers from a range of sectors. They chose an unlimited list of companies for which they might consider working. Next they narrowed the choice to a maximum of five ideal employers. Banking dips to fourth place Despite the upturn in banking in the last couple of years, the sector has declined in popularity, dropping from second place in the 13-2012 academic year to fourth place in 14-2013. Airlines and airports are most popular employers The UAE s success in becoming an international airline hub clearly reflected in the ideal employer 2 rankings. Three of the top five ideal employers for business are airlines or airports, including Emirates at number one. Everyone loves Google Google is the second-most popular employer. In this respect, UAE business are similar to their peers in other countries. It is among the top three ideal employers in 15 EMEA markets, mostly at number one. Gender balance bucks trend There are significantly more women than men among banking-inclined 3 in the genders. This is unlike most other EMEA markets, where there is a fairly equal division between men and women among banking-inclined, but most investment banking-inclined are men. Work-life balance and job security are top career goals More than half of banking-inclined in the UAE chose to have work-life balance and to be secure or stable in my job among their top three career goals, out of nine possibilities. a leader of manager of people was the third-most popular aspiration, chosen by 42.9 per cent. Students value professional training and a friendly atmosphere The two attributes that banking-inclined most want from their employers are professional training and development and a friendly work environment. The good 3 Banking-inclined are a subset who put at least one bank in their top five ideal employers.

Banking faces tough competition Figure 2. Industry popularity among business, the UAE 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% 15.8% 14.1% Transportation and Logistics 10.3% 12.5% Fast-Moving Consumer Goods (FMCG) 11.0% 11.2% Software and Computer Services 14.0% Banks 10.2% 8.8% 9.4% 8.5% 8.9% 8.1% 7.8% Public Sector and Governmental Agencies Auditing and Accounting Other 3.7% Energy 3.9% 2013 2014 Figure 3. Top five most popular employers among business, the UAE Emirates (Airline) Google Dubai Airports Etihad Airways Microsoft 13.3% 12.3% 11.4% 23.3% 26.0% 0% 5% 10% 15% 20% 25% 30% Figure 4. Top five most popular employers, banking-inclined, the UAE, 2014 In the UAE the differences between the top six most popular sectors are relatively small. There are just five percentage points between transport and logistics at number one, with 14.1 per cent of choices for ideal employer, and auditing and accounting in sixth place, with 8.9 per cent. Banks therefore face competition from many quarters when it comes to attracting talent. The popularity of Google and Microsoft is not surprising. It is the same in other markets, but also reflects the fact that both companies have regional headquarters in Dubai. More surprising at first glance is the relatively low ranking for the public sector, which is commonly regarded as the most popular employer in the UAE; however this is probably due to the fact that the overwhelming majority of business in the UAE and in our sample are expatriates, whereas most government jobs are reserved for Emiratis. Abu Dhabi Islamic Bank 24.1% Emirates (Airline) HSBC 23.8% 22.5% Dubai Islamic Bank 19.2% Barclays 18.1% 0% 5% 10% 15% 20% 25%

Not career focused? Figure 5. Career goals of banking-inclined, the UAE 60% 50% 40% 30% 20% 10% 50.5% 52.9% 48.5% 50.3% 42.9% 38.6% 34.7% 36.5% 31.7% 33.3% 30.7% 30.7% 25.7% 22.2% 15.8% 15.9% 14.3% 9.9% 0% To have work-life balance secure #or stable in my job a leader or manager of people entrepreneurial or creative/ innovative To have an international career dedicated to a cause or to feel that I am serving a greater good competitively or intellectually challenged autonomous or independent a technical or functional expert 2013 2014 Figure 6. Expected annual salary (EUR), the UAE, 2014 Investment banking-inclined Banking-inclined All business 35,900 34,200 33,400 0 10,000 20,000 30,000 40,000 Figure 7. Duration of first job, the UAE, 2014 40% 35% 30% 25% 20% 15% 32.7% 29.7% 25.7% 20.5% 17.5% 27.0% 35.5% 35.9% 36.5% 10% 5% 5.1% 5.6% 5.4% 9.1% 8.2% 5.4% 0% 1 year or less 2 years 3 years 4 years 5 years or more All business Banking-inclined Investment banking-inclined

The choice of top career goals among UAE bankinginclined gives food for thought. The most popular choice was to have work-life balance. However job security, which came second, is chosen mostly by in markets with high levels of youth unemployment. The five goals that most suggest career focus are to be a leader or manager, to be competitively or intellectually challenged, to have an international career, to be entrepreneurial or creative/innovative and to be a technical or functional expert. In the UAE, banking-inclined (and business in general) selected these less than in any of the other EMEA markets in the survey, except for Poland. We looked at what banking-inclined most want from their employer and what they most associate with banks. Plotting the two against each other offers a view of where their aspirations and expectations coincide or diverge, and may offer interesting insights to employers. The good news for banks in the UAE is that bankinginclined strongly associate them with the attributes they most value, such as professional training and development, a friendly work environment and financial strength. However it may be of concern to banks that bankinginclined do not necessarily value the things that they most expect to find at banks. There is a noticeable lack of interest in client interaction and high level of responsibility. Banks may be interested to note that a competitive basic salary is of much less interest to banking-inclined than they may imagine. It ranks just 22nd out of 40 job attributes as an aspiration. Do banks offer what want? Figure 8. Banking-inclined aspirations versus expectations, the UAE, 2014 Professional training and development 50.0% 61.7% A friendly work environment 48.1% 54.1% ASPIRATIONS Financial strength 44.6% 68.1% High future earnings 43.6% 53.2% Respect for its people 41.9% 54.9% Leadership opportunities 40.7% 54.3% A creative and dynamic work environment 40.5% 45.3% Leaders who will support my development 39.5% 55.2% Secure employment 37.5% 59.7% EXPECTATIONS 36.7% Innovation 40.7%.

Appendix Note to Figure 2 Survey question: Choose the five employers you most want to work for [from the list of employers you would consider working for], your five ideal employers. Industry popularity by market is calculated as the number of times employers from that industry are shortlisted among the five ideal employers in each market. Note to Figure 3 Survey question: Choose the five employers you most want to work for [from the list of employers you would consider working for], your five ideal employers. Note to Figure 4 Survey question: Choose the five employers you most want to work for [from the list of employers you would consider working for], your five ideal employers. Note to Figure 5 Survey question: Below is a list of nine possible career goals. Which are most important to you? Please select a maximum of 3 alternatives. Importance of goals is then calculated as the percentage of choosing each career goal on their shortlist of top three goals. Note to Figure 6 Survey question: What is your expected salary before tax at your first employment after graduation, excluding commission and bonus? Note to Figure 7 Survey question: How many years do you expect to work for your first employer after graduation? Note to Figure 8 Percentages are based on answers to the following survey questions. Aspirations Which of these are most important to you? Please select a maximum of three alternatives [in each of the following four categories: Employer Reputation and Image; Job Characteristics; People and Culture; and Remuneration and Advancement Opportunities]. Expectations Which of the following [40 attributes] do you associate with your chosen employer(s)? The number of aspirations chose was capped at 12, while the number of expectations was uncapped up to 40. Therefore the percentages across expectations are likely to be higher than the corresponding aspirations.

Contacts Joe El Fadl Partner Insurance Lead +961 1 364 700 jelfadl@deloitte.com James Babb Partner Audit +971 4 768 888 jbabb@deloitte.com Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited ( DTTL ), a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.co.uk/about for a detailed description of the legal structure of DTTL and its member firms. Deloitte LLP is the United Kingdom member firm of DTTL. This publication has been written in general terms and therefore cannot be relied on to cover specific situations; application of the principles set out will depend upon the particular circumstances involved and we recommend that you obtain professional advice before acting or refraining from acting on any of the contents of this publication. Deloitte LLP would be pleased to advise readers on how to apply the principles set out in this publication to their specific circumstances. Deloitte LLP accepts no duty of care or liability for any loss occasioned to any person acting or refraining from action as a result of any material in this publication. 2014 Deloitte LLP. All rights reserved. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 2 New Street Square, London EC4A 3BZ, United Kingdom. Tel: +44 (0) 20 7936 3000 Fax: +44 (0) 20 7583 1198. Designed and produced by The Creative Studio at Deloitte, London. 38937A